Breaking News: Fed Interest Rate Cut Probability Soars Above 50%, Bitcoin Rally to Continue?
In a recent update from Bloomberg terminal shared on the X platform, data from CME FEDWATCH indicates that the likelihood of a significant interest rate cut has surpassed 50%. This news comes ahead of the scheduled FOMC meeting on September 18, where a decision on reducing interest rates is anticipated.
Currently, the data from CME FEDWATCH shows that there is a 63% chance of a 50 basis point rate cut, while the probability of a 25 basis point cut stands at 37%. The expectation of a rate cut by the Federal Reserve, which has been hinted at multiple times this year, has been a driving force behind the price surges seen in various markets.
Last week, Bitcoin experienced a nearly 5% increase in price, reclaiming the $60,000 level. However, in the past 24 hours, Bitcoin has seen a 3.22% decline, dropping to the $58,560 zone at the time of writing.
Analysts are speculating that the potential Fed interest rate cut could pave the way for Bitcoin to continue its rally and reach new highs this year, assuming other bullish factors align.
In conclusion, the increasing likelihood of a Fed interest rate cut could have significant implications for various markets, including cryptocurrencies like Bitcoin. Investors should closely monitor developments and consider adjusting their strategies accordingly to capitalize on potential opportunities or mitigate risks in light of these changes.